BGOV Bill Summary: H.R. 500, Exploitation of Older Investors (1)

Mutual funds could delay the redemption of shares to protect older Americans and other vulnerable individuals from financial exploitation under H.R. 500.

Covered investment companies would have to develop procedures to flag potential instances of exploitation and confirm the status of older and vulnerable customers.

“My legislation would help protect our seniors from having their hard-earned money taken from them by implementing a buffer between financial transactions if fraud is suspected,” bill sponsor Rep. Ann Wagner (R-Mo.) said in a Jan. 26 news release.

Older Americans lose about $3 billion to financial abuse each year, according to the ...